Dogecoin Faces Selling Pressure, With Price Action Suggesting Ongoing Downtrend

Dogecoin Slides 4% as Fed Inaction and Trade Tensions Sour Risk Appetite

Dogecoin (DOGE) declined by 4% in the 24-hour window ending August 3 at 04:00 (UTC+7), falling from $0.20 to as low as $0.188 before settling around $0.195. The drop came amid a global shift toward risk aversion following the Federal Reserve’s decision to hold interest rates steady and escalating trade tensions that have rattled investor sentiment.

The Fed’s wait-and-see stance on monetary policy, particularly its focus on monitoring trade data, has diminished market expectations for a September rate cut—undermining high-beta assets like meme coins.

Market Activity Snapshot

• Trading Range: DOGE moved within a volatile $0.015 band (7.14%), between $0.188 and $0.203.
• High-Volume Prints: Transaction volume surged to 918.53M at 06:00 and 502.81M at 14:00, both well above the daily average of 385.67M—indicating decisive selling.
• Support Zone: Demand emerged near $0.188–$0.190, leading to a modest recovery toward $0.194.
• Resistance Zone: Sellers consistently defended the $0.202–$0.203 range, capping upside attempts.

Macro Backdrop

DOGE’s decline reflects growing caution across crypto markets amid a deteriorating global trade landscape. The recent expiration of a major reciprocal tariff framework has left 92 countries facing higher trade barriers. Combined with stagnant U.S. monetary policy, the result has been broad capital flight from speculative assets, particularly meme tokens.

Technical Breakdown

• Resistance Holding: DOGE failed multiple times to break through $0.203, reinforcing the strength of overhead supply.
• Support Holding Tentatively: The $0.188–$0.190 zone absorbed intense selling volume, suggesting temporary stabilization.
• Final Hour Moves: The last trading hour saw a 0.53% decline from $0.196 to $0.195, with resistance forming at $0.1963 and local support near $0.1952.
• Volatility Signal: Although volumes normalized late, they remain elevated, hinting at more swings ahead.

What Traders Are Watching

• $0.19 Support: Whether this level holds could determine DOGE’s next directional move.
• Macro Signals: Shifts in U.S. monetary policy, trade negotiations, and overall market liquidity trends.
• Sector Rotation: Continued selling in meme coins could accelerate if investors seek safety in stablecoins or yield-bearing crypto instruments.